IndyCar has moved to terminate its console video game license agreement with Motorsport Games ‘effective immediately’ based on a filing from the developer to the U.S. Securities and Exchange Commission last week.
This motion came a day after the developer informed investors that it had halted development of what would have been the first console game based on the world of IndyCar since 2003.
It’s been a tumultuous autumn for Motorsport Games, who sold its NASCAR license to iRacing in October for nearly $4 million, while also losing its license to produce a similarly delayed game based on the British Touring Car Championship.
The company laid off nearly 40 percent of its staff this month while also closing the Australian studio that was developing the IndyCar game.
The Indianapolis Star reported that Motorsport Games had not defaulted on payments to IndyCar and that was the basis the developer had hoped would see the partnership through, especially with promotional material and a full trailer having already been produced.
In the SEC filing, Motorsport Games said it was exploring its options.
“(MSG) is evaluating the validity of (IndyCar’s) notice of termination, including demands for certain payments under the IndyCar license agreements, as well as (MSG’s) options under the IndyCar license agreements.”
IndyCar could choose, similar to NASCAR and the iRacing partnership, to sell its licensing to another developer to either pick up where MSG currently stands in development or completely start over.
Related, IndyCar previously held a licensing agreement with iRacing for its racing simulation platform, but that ended at the end of last year as the sanctioning body entered into an exclusive agreement with MSG.
What that meant for iRacing users is that they have still been able to race the IR18 chassis at the scanned Indianapolis Motor Speedway but no longer in officially sanctioned events like the iRacing Indianapolis 500.
But even users who participated in privately run series could no longer stream races that used IndyCar chassis like the IR18, DW12, or IR-05.
Matt Weaver is a Motorsports Insider for Sportsnaut. Follow him on Twitter.
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